SuperCharlie writes: Effective November 1st, 2012, PayPal is updating its user agreement requiring any disputes between you and PayPal to be settled by binding, "final" arbitration. According to user notifications, you have until December 1st, 2012 to opt out, however, no facilities or links to do so are provided.

Paypal provided a mail address for sending your opt-out requests. However, the Consumerist website [consumerist.com] notes that requests have been rejected for being ill-formatted, so they provide a link to Public Citizen's template letter.